Tehran expects massive foreign investments in post-sanctions era

7 September 2015 16:51 (UTC+04:00)

By Sara Rajabova

Iran is expecting massive amounts of foreign investment following the removal of international sanctions under the Vienna deal between P5+1 and Tehran.

Iran’s Energy Minister Hamid Chitchian said his ministry predicts foreign investments in the country’s energy sector to hit $30 billion in the post-sanctions era.

He made the remarks on the sidelines of a meeting with a trade delegation from Germany’s Baden-Württemberg State headed by Nils Schmid, deputy minister-president and minister of finance and economics of Baden-Württemberg, Trend reported.

Schmid, in turn, said Baden-Württemberg State has invested about $1 billion in Iran, adding that plans are in place to double the figure in the coming months.

Schmid’s trip to Iran follows a visit in July by Germany’s Vice Chancellor Sigmar Gabriel who led a major trade delegation to Tehran. He visited Tehran for talks over the participation of companies from Baden-Württemberg in Iran’s energy projects and other sectors.

During the visit, the German and Iranian officials have looked into the prospects for German investments in the Islamic Republic after the removal of sanctions.

Iran said it wants to enter into serious talks with German enterprises before the sanctions that keep investors away from Iran are lifted.

Iran’s Oil Minister Bijan Zangeneh said Iranian and German companies should start their talks before the removal so that as soon as the sanctions are lifted, they sign the contracts over their planned investments in Iran, Press TV reported.

Zangeneh added that the German companies need to choose Iranian partners for a new round of investments in Iran after sanctions removal.

Schmid is leading a 68-member delegation that arrived in Tehran on September 6 for talks with officials as well as Iranian businesses over potential investment areas.

German companies are willing to work with Iran's energy sector and take part in the implementation of the country's economic, industrial, and energy projects, according to him.

Schmid added that German companies are planning to start negotiations with Iranian counterparts in order to obtain necessary information about Iran’s various industrial and energy companies and find avenues for new cooperation once sanctions are removed.

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Sara Rajabova is AzerNews’ staff journalist, follow her on Twitter: @SaraRajabova

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